Consistent with our OODAcon 2024 theme – Convergence – the recent transfer of $214M worth of bitcoin from the total $13.3B worth of bitcoin held by the USG – predominantly made up of the bitcoin acquired by the USG from the Silk Road seizure – converges with our general bullish coverage vis a vis our long view on crypto and our future of money analysis by way of our Dispatches from the Ministry for the Future.  $13.3B is real money and a real strategic stake in the ground for the USG as the future of crypto plays itself out.  

In this struggling #cryptocurrency market, the US government has just moved a massive 3,940 BTC worth $241 million to #Coinbase. However, the market didn’t react much, remaining stable near the $60,800 level. https://t.co/8menYsrqxM

— Todayq (@todayqofficial) June 27, 2024

US government transfers 4,000 BTC to Coinbase

Recent transfer highlights US government’s ongoing management of seized Bitcoin assets

As reported by Crypto Briefing:

Key Takeaways

• The US government controls a Bitcoin wallet from the Silk Road seizure.
• The Bitcoin stash is currently valued at approximately $13.3 billion.

A crypto wallet known to be controlled by the US government recently transferred around 3,940 Bitcoin (BTC), worth $241 million to Coinbase, according to data from Arkham Intelligence.  The wallet currently holds around $13,3 billion worth of Bitcoin.  The wallet’s Bitcoin stash is tied to the seizure of Bitcoin from the Silk Road, an infamous online marketplace on the dark web, dealing in illegal drugs, weapons, and other illicit goods. Silk Road was shut down in 2013.  Earlier in April, the government allegedly transferred 30,175 BTC, worth approximately $2 billion, from the same wallet to Coinbase.

The transaction was split into three transfers, starting with a small test transfer of 0.001 BTC ($65) to a Coinbase Prime deposit address, followed by the main transfer of 1,999 BTC (around $130 million) to Coinbase. The remaining 28,176 BTC was sent to another government-controlled wallet, likely as part of a planned sale.  Bitcoin’s bearish momentum, which has been building since earlier this week, could be exacerbated by recent large-scale transfers.  On Monday, the trustee of Mt. Gox, the defunct exchange, said it would start its $9 billion repayment plan next month. Victims will receive payouts in Bitcoin and Bitcoin Cash, potentially increasing selling pressure in the market. Pressure intensified after the German government transferred 400 BTC to Coinbase and Kraken yesterday, with an additional 500 BTC moved to an untagged address.  Those moves have drawn significant attention from the crypto community, with speculation about the government’s strategy for managing and selling its Bitcoin holdings.  Bitcoin experienced a slight dip following the latest transfer, hitting a low of $60,800 before recovering to around $61,000, per CoinGecko’s data.

Bitcoin (BTC) worth $241M sent to Coinbase by the U.S. Government

(Source:  msn.com by way of

The U.S. government has transferred Bitcoin worth $241 million to Coinbase hours after another huge BTC transfer by the German government.  This transaction is part of the government’s ongoing management of seized Bitcoin assets, particularly those linked to the infamous Silk Road marketplace.

It’s the 2nd time the U.S. is moving its Bitcoin holdings

[The] transfer is not the first of its kind. Earlier in April, the U.S. government transferred a staggering 30,175 BTC, valued at approximately $2 billion at the time, from the same wallet to Coinbase.  April’s transaction included a small test transfer of 0.001 BTC to a Coinbase Prime deposit address, followed by the main transfer of 1,999 BTC. The remaining 28,176 BTC was moved to another government-controlled wallet, likely as part of a planned sale strategy.

Impact on the crypto market

These large-scale transfers by the U.S. government have significant implications for the cryptocurrency market.  In addition to the U.S. government’s activities, the German government has also been active in transferring seized Bitcoin.  Today (June 26), the German government transferred 750 BTC, valued at $46.35 million, to different addresses.

The German Government transferred 750 $BTC($46.35M) out again, of which 250 $BTC($15.41M) was transferred to #Bitstamp and #Kraken.

German Government currently holds 45,609 $BTC($2.81B).

The German Government also transferred 0.001 $BTC to Flow Traders, which may be a test… pic.twitter.com/F0CFUDPQoP

— Lookonchain (@lookonchain) June 26, 2024

Over the past week, Germany has moved approximately $150 million worth of Bitcoin to known exchange addresses and an additional $147 million to the “139Po” address. Despite these transfers, Germany still holds a significant amount of Bitcoin, approximately 45,609 BTC valued at $2.8 billion.

What Next?

As Charles Thuo from msn.com reported:

• These governmental actions come at a time when the crypto market is closely monitoring other significant events, such as the Mt. Gox trustee’s announcement of a $9 billion repayment plan. Victims of the defunct exchange are set to receive payouts in Bitcoin (BTC) and Bitcoin Cash (BCH), further contributing to potential market volatility.
• These dumps of bitcoins into the market could exacerbate the Bitcoin bearish momentum that had been guiding over the past few days.
• Notably, the transfer of substantial amounts of Bitcoin (BTC) to exchanges like Coinbase mostly suggests potential liquidation, which can increase selling pressure in the market.

Washington D.C.: The Emerging Crypto Capital of the World?

Political Realignment and Regulatory Evolution Pave the Way for Blockchain Innovation in the Nation’s Capital

Could DC become the crypto capital of the world? There are some early indications that both political parties are starting to align on the importance of a smart crypto policy. The result could be a bi-partisan move to a need for a light-touch regulatory environment that is cognizant of and responsive to the need to fight crime/fraud/money laundering but remains open to innovation.